Norway will not not follow OPEC’s example and cut the oil production in order to maintain a high price for crude.
Three days ago, the OPEC nations agreed to reduce production by 900,000 barrels a day from November 1st.
The price for crude on the world markets increased immediately by one USD a barrel, to USD 28,15 following the announcement.
Oil and Energy Minister Einar Steensnaes says to Reuters that he sees no reason to follow OPEC’s example and cut production on the Norwegian Shelf.
The oil price is already more than USD 25 a barrel, and we therefore see no need for a cut in production at this time, Steensnaes says.
He says that if the price falls below USD 20 a barrel, Norway would also seriously consider i cut in production.
About 18 months ago, Norway followed OPEC and decided on a minor cut in produsction from January to June in 2002, in order to stabilize the international oil market.